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Mercury Securities Group Bhd (XKLS:0285) ROE % : 3.97% (As of Oct. 2023)


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What is Mercury Securities Group Bhd ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Mercury Securities Group Bhd's annualized net income for the quarter that ended in Oct. 2023 was RM6.62 Mil. Mercury Securities Group Bhd's average Total Stockholders Equity over the quarter that ended in Oct. 2023 was RM166.55 Mil. Therefore, Mercury Securities Group Bhd's annualized ROE % for the quarter that ended in Oct. 2023 was 3.97%.

The historical rank and industry rank for Mercury Securities Group Bhd's ROE % or its related term are showing as below:

XKLS:0285' s ROE % Range Over the Past 10 Years
Min: 5.5   Med: 13.46   Max: 17.36
Current: 5.5

During the past 5 years, Mercury Securities Group Bhd's highest ROE % was 17.36%. The lowest was 5.50%. And the median was 13.46%.

XKLS:0285's ROE % is ranked better than
50.78% of 772 companies
in the Capital Markets industry
Industry Median: 5.34 vs XKLS:0285: 5.50

Mercury Securities Group Bhd ROE % Historical Data

The historical data trend for Mercury Securities Group Bhd's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Mercury Securities Group Bhd ROE % Chart

Mercury Securities Group Bhd Annual Data
Trend Oct19 Oct20 Oct21 Oct22 Oct23
ROE %
7.07 13.46 17.36 14.63 5.68

Mercury Securities Group Bhd Semi-Annual Data
Oct19 Oct20 Oct21 Apr22 Oct22 Apr23 Oct23
ROE % Get a 7-Day Free Trial - 16.91 12.48 7.08 3.97

Competitive Comparison of Mercury Securities Group Bhd's ROE %

For the Capital Markets subindustry, Mercury Securities Group Bhd's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Mercury Securities Group Bhd's ROE % Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Mercury Securities Group Bhd's ROE % distribution charts can be found below:

* The bar in red indicates where Mercury Securities Group Bhd's ROE % falls into.



Mercury Securities Group Bhd ROE % Calculation

Mercury Securities Group Bhd's annualized ROE % for the fiscal year that ended in Oct. 2023 is calculated as

ROE %=Net Income (A: Oct. 2023 )/( (Total Stockholders Equity (A: Oct. 2022 )+Total Stockholders Equity (A: Oct. 2023 ))/ count )
=8.388/( (124.532+170.596)/ 2 )
=8.388/147.564
=5.68 %

Mercury Securities Group Bhd's annualized ROE % for the quarter that ended in Oct. 2023 is calculated as

ROE %=Net Income (Q: Oct. 2023 )/( (Total Stockholders Equity (Q: Apr. 2023 )+Total Stockholders Equity (Q: Oct. 2023 ))/ count )
=6.62/( (162.497+170.596)/ 2 )
=6.62/166.5465
=3.97 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is two times the semi-annual (Oct. 2023) net income data. ROE % is displayed in the 30-year financial page.


Mercury Securities Group Bhd  (XKLS:0285) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Oct. 2023 )
=Net Income/Total Stockholders Equity
=6.62/166.5465
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(6.62 / 31.932)*(31.932 / 181.5075)*(181.5075 / 166.5465)
=Net Margin %*Asset Turnover*Equity Multiplier
=20.73 %*0.1759*1.0898
=ROA %*Equity Multiplier
=3.65 %*1.0898
=3.97 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Oct. 2023 )
=Net Income/Total Stockholders Equity
=6.62/166.5465
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (6.62 / 11.168) * (11.168 / 3.99) * (3.99 / 31.932) * (31.932 / 181.5075) * (181.5075 / 166.5465)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.5928 * 2.799 * 12.5 % * 0.1759 * 1.0898
=3.97 %

Note: The net income data used here is two times the semi-annual (Oct. 2023) net income data. The Revenue data used here is two times the semi-annual (Oct. 2023) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Mercury Securities Group Bhd ROE % Related Terms

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Mercury Securities Group Bhd (XKLS:0285) Business Description

Traded in Other Exchanges
N/A
Address
No. 2 Jalan Solaris, L-7-2, Solaris Mont Kiara, Kuala Lumpur, MYS, 50480
Mercury Securities Group Bhd is an investment holding company and through its subsidiaries, It is principally engaged in stockbroking, corporate finance advisory and other related businesses as well as the provision of nominee and custodian services. Mercury provides stockbroking services comprising execution of trades of securities listed on Bursa Securities and foreign stock exchanges mainly in Singapore, Hong Kong and the USA, as well as margin financing facility services, nominees, custodians and related services. It is also licensed by the Securities Commission Malaysia to undertake regulated corporate finance activities as a Principal or Independent Advisor.

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